Canada’s Study Permit Caps Hit Harder Than COVID Enrolments Plunge 62%

What’s Happening

• The Canadian government introduced limits (caps) on how many international students can get study permits starting in January 2024, and reduced them again in 2025.
• For 2025, the cap is 437,000 permits, but only 80,000 new study permits are expected to be approved a 62% decline compared to last year.
• Study permit approvals have fallen to just 37% so far this year (January–August 2025), which is extremely low.

📉 Impact on Colleges and Universities

• This drop is the biggest fall in international enrolment in over a decade, even steeper than during the pandemic.
• Many colleges and universities are losing international students who are crucial for both diversity and funding.
• The article warns of a “demographic cliff” meaning that by 2026, the number of international students could fall by 50%, as current students graduate and new ones aren’t coming in to replace them.
• Colleges are suffering the most, because their permit approval rates are even lower (about 25%) and most of their current students are already in Canada (onshore).

🌍 Diversity Concerns

• Because of the low approval rates, institutions are focusing recruitment on a few countries with higher approval chances.
• This is leading to a loss of diversity, especially fewer students from Africa, Southeast Asia, and Latin America.
• Key markets like India and the Philippines are seeing massive rejection rates up to 75% of Indian students reportedly being denied.

💰 Economic and Employment Effects

• The decline in international students is hurting Canada’s economy and higher education sector.
• Over 12,000 education-related jobs have already been lost due to fewer international enrolments.
• The loss of future graduates also poses a national risk, as Canada already faces labour shortages in fields like healthcare, skilled trades, and education.

⚖ Government’s Perspective

• The Immigration, Refugees and Citizenship Canada (IRCC) considers the decline a success, as it aims to reduce Canada’s temporary resident population (including international students and workers) to below 5% by 2027.
• However, experts warn this could hurt Canada’s long-term economy because the country depends on younger international graduates to fill workforce gaps.

🧠 Expert Recommendations

• To survive this crisis, institutions must:
  • Use data-driven recruitment.
  • Conduct strict applicant screening.
  • Ensure strong study-plan alignment (students clearly matching programs to their background).
  • Diversify recruitment to avoid dependence on a few “safe” markets.

⚠In Summary

Canada’s study permit restrictions have caused:

• A massive drop in new international student enrolments (the sharpest in 10 years).
• Financial strain and job losses at institutions.
• Reduced campus diversity and potential long-term economic and labour force challenges.

Experts are calling the situation a crisis for Canadian education, warning that if policies don’t change soon, the country could face a serious shortage of skilled graduates and a collapse in the international education ecosystem.

🎓Planning to study abroad but unsure where to apply next?
👉Contact us today for expert guidance and alternative study destinations!

📩 Email: info@wacconsultants.com

📞WhatsApp: +92 310 7203666

🌐 www.wacconsultants.com